15 Aug 2018 07:00
PREMIER VETERINARY GROUP PLC
("PVG" or "the Company")
MAJOR CONTRACT SIGNED IN THE US FOR
PREMIER PET CARE PLAN
London, UK, 15TH August 2018 - Premier Veterinary Group plc (LSE: PVG) announces that its wholly-owned subsidiary, Premier Vet Alliance (US) Limited ("PVA"), has signed a contract with a major corporate veterinary consolidator in the US ("the Customer").
The Customer has over 140 hospitals across 25 States with in excess of 700 Full Time Vet Equivalents ("FTVE"). Of these hospitals in excess of 100 are companion animal, the target market for PVG, with an FTVE compliment of over 500. The average size of the Customer's hospitals is in the region of 5 FTVE which is approximately twice the average size of UK and US practices currently served by PVG.
The contract, initially, is to introduce PVA's preventative healthcare programme for pets, branded "Premier Pet Care Plan" ("PPCP"), to 15 of the Customer's companion animal hospitals. At the end of the pilot phase, which is expected to last between three and six months, the contract can be extended to a 3 year term with a full roll out to all of the Customer's companion animal hospitals. This contract is unlike previous co-operation agreements that have been signed with distributors in the US, and will see PPCP launched in all the Customer's existing sites over a 12 month period. Furthermore, PPCP will be launched in hospitals acquired or opened by the Customer in the future throughout the contract period. As the fourth largest corporate consolidator in the US, this represents a significant opportunity to grow PVA's existing market share in this key territory.
Dominic Tonner, Chief Executive Officer of PVG, added:
"I am delighted to announce this deal which will help propel the business forward with a large and well respected US corporate consolidator. It is clear vindication and reward for the unswerving focus the team have for the business and the changes we have implemented to satisfy the US market."
The information contained within this announcement is deemed by the Company to constitute inside information stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.
For further information, please contact:
Premier Veterinary Group plc Tel: +44 (0)117 970 4130
Dominic Tonner, Chief Executive Officer
Will Evans, Chief Financial Officer
Note to Editors:
The available market for preventative healthcare programmes for pets across the US is estimated at 70 million dogs and 74 million cats (U.S. Pet Ownership & Demographics Sourcebook 2012). The largest operator in this segment in the US is reported to have one million pets on such programmes.
PVG's services to third party veterinary practices, through its wholly-owned subsidiary, Premier Vet Alliance Limited ("PVA"), include the administration and support of a preventative healthcare programme for pets branded "Premier Pet Care Plan" ("PPCP"). In the US, PPCP is marketed through the Company's wholly-owned subsidiary, Premier Vet Alliance (US) Limited.
PPCP is a structured, preventative healthcare programme for cats, dogs and rabbits and is available only through veterinary practices. The programme is seen as a way of providing gold standard care for pets at an affordable price for the client, by way of fixed monthly payments.
PPCP uses a clinical approach to prevention, as this is the most effective method of ensuring illnesses are diagnosed more quickly and not given a chance to advance. What truly sets PPCP apart is its unique approach of offering an end-to-end solution and support to the practice, which has been proven to work extremely well. PVA works alongside practices to create a tailor-made, cost-effective service for clients, one that delivers excellent care to their patients and significantly improves practice performance.
For further details: http://www.premiervetalliance.co.uk/
This announcement includes "forward-looking statements" which include all statements other than statements of historical facts, including, without limitation, those regarding the Company's financial position, business strategy, plans and objectives of management for future operations, and any statements preceded by, followed by or that include forward-looking terminology such as the words "targets", "believes", "estimates", "expects", "aims", "intends", "will", "can", "may", "anticipates", "would", "should", "could" or similar expressions or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company's control that could cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which the Company will operate in the future. These forward-looking statements speak only as at the date of this announcement. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this announcement to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based. As a result of these factors, readers are cautioned not to rely on any forward-looking statement.